• Assess the Vanderbilt Endowment situation; what are the endowment's objectives and how has it met or failed to meet those objectives?
• Are the risks in the portfolio measurable? Easily measurable?
• Think beyond statistics such as variance and standard deviation; how about leverage, liquidity, and complexity?
• Does the investment team have sufficient analytical capability? Is it adequate with respect to the nature of the portfolio?
• Does the Office of Investments have sufficient resources to manage such a complex portfolio? Is the Investment Committee providing sufficient oversight?
• Is it prudent to invest in complex strategies that are hard to evaluate and monitor?
• What kinds of exposures were contained in the portfolio and are they acceptable?
• Would Vanderbilt be at a disadvantage relative to peer institutions if the committee chose to simplify the portfolio?
• Is the compensation structure aligned with the endowment's goals? Does the compensation plan promote undesirable behavior?

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Assessing the Vanderbilt Endowment situation involves evaluating various aspects of its investment strategy risk management resources and governance 1 Objectives The endowments objectives likely inclu... View the full answer